Explanation
BACKGROUND: This ordinance is for the option to purchase Limestone and Gravel Aggregates for the Department of Public Service, Division of Planning and Operations, the largest user, and other City agencies. Limestone and Gravel Aggregate materials are used for various road construction and repair projects throughout the City of Columbus. The term of the proposed option contracts would be through April 30, 2015 with the option to extend one additional one year period, subject to mutual agreement by both parties, in accordance with formal bid SA004747. The Purchasing Office opened formal bids on January 31, 2013.
The Purchasing Office advertised and solicited competitive bids in accordance with Section 329.06 (Solicitation No. SA004747). Forty-three bids were solicited (MAJ:34; M1A: 8,: F1:1); Two bids were received (MAJ:2).
Two bids were received and neither was for all items. The bid allowed for multiple contract awards to the overall lowest bid taking into consideration the cost for pick-up of materials from plant locations to various job sites. Both companies are recommended for award.
Shelly Materials, Inc. was the only bidder for Item #4 and they took exception to the specifications which made them non-responsive for this line item. Through clarification it was learned they could provide the material if the City deleted part of the specification that was outdated. In the best interest of the City, the Purchasing Office negotiated with the company to accept a revised specification, therefore, this company is recommended for award for this item.
It was also learned through the evaluation that some city agencies require delivery of materials and delivery was not included in the bid. In the best interest of the city, the Purchasing Office negotiated pricing for delivery of the materials with the two companies that submitted bids and both are recommended award for the option to include delivery of materials to various jobsites.
A non-emergency waiver of regulations is being submitted to allow for these additions to the contracts. The Purchasing Office is recommending award of two contracts to the lowest, responsive, responsible, and best bidders:
The Olen Corporation., CC#31-4442564, Exp. 3/4/15
Shelly Materials, CC#311574851, Exp.12/14/13
Total Estimated Annual Expenditure: $400,000.00
These companies are not debarred according to the Excluded Parties listing of the Federal Government and are not listed in the Auditor of States database for Findings for Recovery.
This ordinance is being submitted as an emergency because, without emergency action, no less than 37 days will be added to this procurement cycle and the efficient delivery of valuable public services will be slowed.
FISCAL IMPACT: Funding to establish these option contracts is budgeted in the Mail, Print Services, and UTC Fund. City agencies will be required to obtain approval to expend from their own appropriations.
Title
To authorize the Finance and Management Director to enter into contracts for the option to purchase Limestone and Gravel Aggregates for the city agencies with Shelly Materials, Inc. and The Olen Corporation; to authorize the expenditure of two dollars to establish the contract from the Mail, Print Services, and UTC Fund; to waive competitive bidding provisions of the Columbus City Codes, 1959; and to declare an emergency. ($2.00)
Body
WHEREAS, the Purchasing Office advertised and solicited formal bids on January 31, 2013 and selected the lowest, responsive, responsible and best bids; and
WHEREAS, this ordinance addresses the Purchasing objective of 1) maximizing the use of City resources by obtaining optimal products/services at low prices and 2) encouraging economic development by improving access to City bid opportunities and 3) providing effective option contracts for the Department of Public Service and all city agencies to efficiently maintain its supply chain and service to the public; and
WHEREAS, in order to ensure Limestone and Gravel Aggregate materials are supplied without interruption to enable repair and maintenance projects to timely receive materials throughout the City of Columbus this is being submitted for consideration as an emergency measure; and
WHEREAS, this is being submitted in accordance with section 329.27; to waive section 329.06 of the Columbus City Code; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Service and all city agencies in that it is immediately necessary to enter into a contract for an option to purchase Limestone and Gravel Aggregate materials thereby preserving the public health, peace, property, safety, and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director be and is hereby authorized to enter into the following contracts for the option to purchase Limestone and Gravel Aggregates for the term ending April 30, 2015 with the option to extend for one additional one-year period in accordance with Solicitation No. SA004747 as follows:
Shelly Materials, Inc. Items: 1-4, 6-12, 15-17, and delivery. Amount $1.00
The Olen Corporation, Items: 1, 2, 12-16, 18, and delivery. Amount $1.00
SECTION 2. That the expenditure of $2.00 is hereby authorized from the Mail, Print Services, and UTC Fund, Organization Level 1: 45-01, Fund: 05-517, Object Level 3: 2270, OCA: 451130, to pay the cost thereof.
SECTION 3. That in accordance with Section 329.27 of the Columbus City Code, this Council finds the best interest of the City is served by waiving, and does hereby waive Section 329.06 (Competitive Sealed Bidding. the procurement of materials, supplies and equipment) of the Columbus City Code.
SECTION 4. That for the reason stated in the preamble here to, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.